FINRA

Nancy Mellon was named a respondent in a FINRA complaint alleging that she converted funds, falsified documents, caused her member firm to maintain inaccurate books and records, and provided false and misleading responses to FINRA staff. The complaint alleges that Mellon caused her assistant to submit four false expense reports on her behalf so that she could receive $4,300 in reimbursements for a $3,800 expense she had not yet paid and a $500 expense she never incurred. Mellon used the money to pay personal expenses. The expense reports were false because Mellon claimed to have paid for a VIP club membership when she had not yet paid the expense, submitted misleading supporting documents, and sought reimbursement for $500 more than she owed. Mellon did not pay the expense until about a year after the first expense report was submitted, and to date, Mellon has not repaid the firm the extra $500, which she was not entitled. The complaint also alleges that Mellon, by causing her assistant to submit false expense reports on her behalf, caused the firm to maintain inaccurate books and records. The complaint further alleges that in connection with FINRA's investigation into Mellon's false expense reports, she provided false information to FINRA by claiming that she was unable to provide bank records and attempted to mislead FINRA staff by asserting that the bank refused to provide the records and recommended that she seek legal advice. After lying to FINRA staff and after her on-the-record testimony, Mellon produced the requested bank records.

Decision

Bar (Permanent)

All Capacities

Indefinite

10/18/2022

Monetary Penalty other than Fines

$4,613.94

Hearing Panel decision rendered July 11, 2019 wherein Mellon is barred from association with any FINRA member in all capacities and ordered to pay hearing costs of $4,613.94. The sanctions were based on findings that Mellon converted $4,300 from her member firm by submitting false expense reports. The findings stated that Mellon submitted false reimbursement requests for an expense she did not incur, and she obtained money to which she was not entitled. Mellon made a deliberate decision to deceive the firm by knowingly submitting an expense report using a check she had not sent and again acted deliberately when she submitted additional expense reports even though she knew that a check she sent had bounced. The findings also stated that by submitting false expense reports, Mellon caused the firm to maintain inaccurate books and records. The findings also included that Mellon provided false and misleading information to FINRA during an investigation into her expense reports. Mellon falsely told FINRA that she was unable to provide copies of bank statements and cancelled checks when she knew that the bank would provide copies upon request. In addition, Mellon misled FINRA by saying that when she asked the bank for her account records, the bank instead told her to consult an attorney. Mellon knew that producing copies of statements from the bank account would reveal that she had not paid the corresponding expense before the firm paid her $4,300. On July 16, 2019, Mellon appealed the OHO decision to the NAC. NAC decision rendered October 18, 2022, wherein the findings made are affirmed and the sanctions imposed by the Hearing Panel are affirmed. The decision is final on November 17, 2022. On December 29, 2022, Mellon filed a late appeal of the NAC decision dated October 18, 2022 to the Securities and Exchange Commission (SEC). On May 31, 2023, the SEC dismissed Mellon's application for review as untimely.

WELLS FARGO ADVISORS

Discharged

Discharged after allegations that Financial Advisor submitted expenses for reimbursement that were either not business related or not paid by the Financial Advisor.

12/7/16 I WAS TERMINATED BY WELLS FARGO ADVISORS AFTER ACCUSATIONS INCLUDING LATE REPORTING OF ITEMS TO MY U4 REGISTRATION, CUSTOMER SALES ABUSES, THE FILING OF A CUSTOMER COMPLAINT TO MY U4 AND USING MY SELF FUNDED EXPENSE ACCOUNT TO PAY FOR NON-BUSINESS EXPENSES. THE EXPENSE ACCOUNT ERROR WAS CLEARLY AN ADMINISTRATIVE ERROR WHICH SHOULD HAVE BEEN CORRECTED AT BRANCH LEVEL. I FACE MEDIATION 1/22 AND IF NOT RESOLVED A DISCIPLINARY HEARING IN JUNE 2019.

Bankruptcy

Dismissed

$10,808.43

Tax

ALL 3 OF MY IRS LIENS ARE COVERED BY ONE OFFER IN COMPROMISE.

$57,588.15

Tax

ALL 3 OF MY IRS LIENS ARE COVERED BY ONE OFFER IN COMPROMISE.